Report: Penney looks to raise $1 billion in cash

NEW YORK (AP) -- A published report says J.C. Penney Co. is consulting with bankers at Blackstone Group on how the struggling department store chain can raise $1 billion in cash.

An online report from The Wall Street Journal late Thursday says one option being discussed with Blackstone is selling a minority stake in Penney. The paper reports Penney is looking to possible investors. The paper cited people familiar with the matter.

The development follows the Plano,Texas-based company's move Monday to oust its CEO Ron Johnson after 17 months on the job. His plan to overhaul the Penney failed to resonate with customers and resulted in nearly a billion dollars in losses and a 25 percent drop in revenue last year.

Neither Blackstone nor Penney could be immediately reached for comment.